The cost of the gastro bug outbreak in Havelock North is going to cost ratepayers more than $700,000.

The Hastings District Council's Finance Committee is expected to sign off on the expenditure at its meeting tomorrow.

The money is needed to cover the remission of water rates for each household in Havelock North, which is costing the council $300,000 in total.

It will also be used to fund the $110,000 recovery package for struggling businesses.

An extra $300,000 will also be put aside for additional costs arising from the water contamination, including extra water testing, engineering and technical investigations, water supply planning and enquiry costs.